Analysts rate Antofagasta plc ANTO:LSE) with a Hold, $1336 Target

STA Research
by: STA Research
antofagasta plc stock

Analysts rate Antofagasta plc with a consensus Hold rating and  a 12-month average target price of GBX 1336.04 per share.

RBC Royalbank recently downgraded Antofagasta to an Underperform rating, and lowers the target price from GBX 1450 to GBX 1350.

Based on the Antofagasta plc stock forecasts from 8 analysts, the average analyst target price for Antofagasta plc is GBX 1,336.04 over the next 12 months. Antofagasta plc’s average analyst rating is Hold. Stock Target Advisor’s own stock analysis of Antofagasta plc is Slightly Bullish, which is based on 11 positive signals and 5 negative signals. At the last closing, Antofagasta plc’s stock price was GBX 1,691.00. Antofagasta plc’s stock price has changed by -61.50% over the past week, +119.50% over the past month and +0.00% over the last year.

Antofagasta plc operates in the mining business. It operates through Los Pelambres, Centinela, Antucoya, Zaldívar, Exploration and Evaluation, and Transport segments. The company was founded in 1888 and is based in London, the United Kingdom. Antofagasta plc is a subsidiary of Metalinvest Establishment.

What we like:

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior risk-adjusted returns

This stock has performed well, on a risk-adjusted basis, compared to its sector peers (for a hold period of at least 12 months) and is in the top quartile.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers (for a hold period of at least 12 months) and are in the top quartile. Although stability is good, also keep in mind it can limit returns.

High dividend returns

The stock has outperformed its sector peers on average annual dividend returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile. This can be a good buy, especially if it is outperforming on a total return basis, for investors seeking high-income yields.

Superior return on equity

The company management has delivered a better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered a better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered a better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Earnings Growth

Compared to its sector, this stock has shown top quartile earnings growth in the previous 5 years.

Superior Dividend Growth

This stock has shown top quartile dividend growth in the previous 5 years compared to its sector

What we don’t like:

Below median total returns

The company has underperformed its peers on annual average total returns in the past 5 years.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on a cash flow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering buying.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

 

Disclaimer

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